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Model with Cross-Border Trade, Fixed Costs, Tariffs, and Firm Heterogeneity but No Foreign Affiliate Sales

Model with Cross-Border Trade, Fixed Costs, Tariffs, and Firm Heterogeneity but No Foreign Affiliate Sales

Release Date: August 05, 2019

This variant includes monopolistically competitive firms with heterogeneous productivity and scale economies. The model can simulate the effects of changes in tariffs, fixed costs of production, and fixed costs of exporting on the volume of international trade and domestic shipments.

Model Details: Tags:
Imperfect Competition Tariff

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Recommended Citations:
Riker, D. and Schreiber S. (2020). Structural Equations for PE Models in Group 2 (Imperfect Competition). U.S. International Trade Commission. Trade Policy PE Modeling Portal.